WASHINGTON STREET HOPE CENTER, INC.

Transcription

1 WASHINGTON STREET HOPE CENTER, INC. Financial Report Years Ended June 30, 2008 and 2007 Jnderprovisions of state law, this report is a public g document. Acopy of the report has been submitted to o c/j the entity and other appropriate public officials. The c~> report is available for public inspection at the Baton Rouge office of the Legislative Auditor and, where appropriate, at the office of the parish clerk of court. j» If 3 C* Release Date I/d o/u / ^ ^ ^ ^

2 TABLE OF CONTENTS Page_ INDEPENDENT AUDITOR'S REPORT 12 FINANCIAL STATEMENTS Comparative Statement of Financial Position 3 Statement of Activities Year Ended June 30, Year Ended June 30, Statement of Functional Expenses Year Ended June 30, Year Ended June 30, Comparative Statement of Cash Flows 8 Notes to Financial Statements 915 COMPLIANCE AND INTERNAL CONTROL Report on Compliance and on Internal Control Over Financial Reporting Based on an Audit of Financial Statements Performed in Accordance with Government Auditing Standards 1718 SINGLE AUDIT Independent Auditor's Report on Compliance with Requirements Applicable to Each Major Program and Internal Control Over Compliance in Accordance with OMB Circular A Schedule of Federal Financial Assistance 22 Schedule of Findings and Questioned Costs 23 Summary Schedule of Current and Prior Year Audit Findings and Corrective Action Plan 24

3 Tel: Fax: ( Der6onne f J^ LLC Certified Public Accountant A Bolton Avenue Alexandria, Louisiana Member Society of Louisiana C.P.A.'s INDEPENDENT AUDITOR'S REPORT To the Board of Directors Washington Street Hope Center, Inc. I have audited the accompanying statement of financial position of Washington Street Hope Center, Inc. (a nonprofit organization) as of June 30, 2008 and 2007 and the related statements of activities, functional expenses, and cash flows for the years then ended. These financial statements are the responsibility of the organization's management. My responsibility is to express an opinion on these financial statements based on my audit. I conducted my audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards. issued by the Comptroller General of the United States. Those standards require that I plan and perform the audit to obtain reasonable assurance about whether the financial statements are free of material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts and disclosures in the financial statements. An audit also includes assessing the accounting principles used and significant estimates made by management, as well as evaluating the overall financial statement presentation. I believe that my audit provides a reasonable basis for my opinion. In my opinion, the financial statements referred to above present fairly, in all material respects, the financial position of Washington Street Hope Center, Inc. as of June 30, 2008 and 2007 and the changes in its net assets and its cash flows for the years then ended in conformity with accounting principles generally accepted in the United States of America. In accordance with Government Auditing Standards, I have also issued my report dated November 28, 2008, on my consideration of Washington Street Hope Center, Inc.'s internal control over financial reporting and my tests of its compliance with certain provisions of laws, regulations, contracts and grants. The purpose of that report is to describe the scope of my testing of internal control over financial reporting and compliance and the results of that testing, and not to provide an opinion on the internal control over financial reporting or on compliance. That report is an integral part of an audit performed in accordance with Government Auditing Standards and should be read in conjunction with this report in considering the results of my audit.

4 My audit was conducted for the purpose of forming opinions on the financial statements that collectively comprise the Washington Street Hope Center, Inc.'s financial statements. The accompanying schedule of expenditures of federal awards is presented for purposes of additional analysis as required by U. S. Office of Management and Budget Circular A133, Audits of States, Local Governments, and NonProfit Organizations, and is also not a required part of the basic financial statements of Washington Street Hope Center, Inc. The schedule of expenditures of federal awards has been subjected to the auditing procedures applied in the audit of the financial statements and, in my opinion, is fairly stated in all material respects in relation to the financial statements taken as a whole. Certi. Derbonne, Jr. Public Accountant Alexandria, Louisiana November 28, 2008

5 FINANCIAL STATEMENTS

6 WASHINGTON STREET HOPE CENTER, INC. Comparative Statement of Financial Position June 30, 2008 and ASSETS Cash Receivables: State funds Federal funds Utility deposit Property and equipment, net of accumulated depreciation $227,289 $178,963 46,500 1,980 1, ,324 31,050 10,185 1, ,957 Total assets $448,855 $363,917 LIABILITIES Payroll taxes payable Accrued salaries Accounts payable Total liabilities $ 1,759 6, $ 1,245 4,626 5,533 1L404 NET ASSETS Unrestricted net assets: Undesignated Fixed assets Total unrestricted net assets Permanently restricted net assets I 89, ,029 Total net assets Total liabilities and net assets $448,855 $ The accompanying notes are an integral part of this statement.

7 WASHINGTON STREET HOPE CENTER, INC. Statement of Activities Year Ended June 30, 2008 Support: Contributions Totals Permanently (Memorandum Only) Unrestricted Restricted ,189 $ 52,676 $ 77,865 $ 71,449 Revenues: Federal grants Program service fees Miscellaneous Total support and revenues 55,805 8,391 89, , ,690 55,805 8, , ,731 37,353 8,905 Functional expenses: Program services Hope Center Management and general 54, , ,252 54, ,966 28,596 Total functional expenses 54, , ,562 Public support and other revenue over expenses 35, ,41 92,876 Other changes in net assets: Operating transfers 220 (220) Total increase in net assets , Net assets, beginning 215, , , Net assets, ending S $ 189,923 $ 440,924 $352,513 The accompanying notes are an integral part of this statement.

8 WASHINGTON STREET HOPE CENTER, FNC. Statement of Activities Year Ended June 30, 2007 Support: Contributions Permanently Unrestricted Restricted 21,167 $ 50,282 Totals (Memorandum Only) $ 71,449 $ 48,817 Revenues: Federal grants Program service fees Miscellaneous Net assets released from restrictions Satisfaction of purpose restrictions Total support and revenues 37,353 8, , ,731 37,353 8, , ,680 26,518 11, Functional expenses: Program services Hope Center Management and general 10, ,715 28, ,966 28, ,225 22,973 Total functional expenses 38, , Public support and other revenue over(under) expenses 28, , Other changes in net assets: Interest expense Operating transfers (72,731) 72,731 (263) Total increase (decrease) in net assets (44,153) , Net assets, beginning 259, , ,638 Net assets, ending $215,484 $ 137,029 $ 352,513 $ The accompanying notes are an integral part of this statement. 6

9 WASHINGTON STREET HOPE CENTER, INC. Statement of Functional Expenses Year Ended June 30, 2008 Payroll: Salaries Payroll taxes Total payroll Program Services Hope Center $321,643 35, ,216 Management and General $ _ Totals (Memorandum Only) $321,643 35, ,216 $294,464 18, Other: Contract labor Miscellaneous Dues and subscriptions Utilities Postage 200 (116) 38 21, , , , ,489 1,315 25, Insurance Telephone Maintenance Miscellaneous Rent 30,197 10,442 20,785 39,250 12,095 1,430 30, ,880 40,680 27,618 5,948 16,281 2,932 62,750 Supplies Food Household Office Medical Literature Other 52,991 10,921 10,014 11,363 1, ,005 1, , ,368 1,503 51,941 12,146 5, ,113 3,280 Professional Accounting & auditing Medical Other Travel Total other 6,000 18, _ 1,803 1,342 2,371 40, ,873 5,650 21,049 2, Allocation of Depreciation 9,737 13,172 22,909 21,667 Total functional expenses $ 600,252 $54,088 $ 652,998 $598,562 The accompanying notes are an integral part of this statement. 7

10 WASHINGTON STREET HOPE CENTER, INC. Statement of Functional Expenses Year Ended June 30, 2007 Program Services Hope Center Management and General Totals (Memorandum Only) Payroll: Salaries Payroll taxes Total payroll $ 294,464 18, ,861 $ $294,464 18, $196,970 15, ,164 Other: Contract labor Dues and subscriptions Utilities Postage Insurance Telephone Maintenance Miscellaneous Rent Supplies Food Household Office Medical Literature Other Professional Accounting & auditing Medical Other Travel 2,137 25, ,694 5,948 10,830 1,008 62,750 51,941 9,070 5,281 4,847 2,630 5,650 19,873 2,352 1, ,924 5,451 1,924 3, , ,176 2,708 3,040 4,489 1, ,618 5,948 16,281 2,932 62, ,146 5, ,113 3,280 5,650 21, ,263 19, ,110 3,877 12,921 3,719 53,000 31,868 13,956 3,157 1,252 9,724 3,455 5,050 12, Total other , Allocation of Depreciation 13,029 8,638 21,667 13,970 Total functional expenses $559,715 $38,847 $598,562 $ The accompanying notes are an integral part of this statement.

11 WASHINGTON STREET HOPE CENTER, INC. Comparative Statement of Cash Flows Years Ended June 30, 2008 and 2007 Cash flows from operating activities: Increase in net assets Adjustments to reconcile increase in net assets Depreciation Changes in operating assets & liabilities: (Increase) decrease in grant receivable Decrease in other recievables Increase (decrease) in accounts payable Increase in payroll taxes payable Total adjustments $ 88,411 $ 92,876 22,909 (15,450) 8,205 (3,987) ,667 4, Net cash provided by operating activities Cash flows from capital and related financing activities: Net acquisition of equipment Net cash used by capital and related financing activities (52,276) (52,276) Net increase in cash and cash equivalents Cash and cash equivalents, beginning 48, , ,737 Cash and cash equivalents, ending $ $ Supplemental data: Interest paid The accompanying notes are an integral part of this statement.

12 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (1) Summary of Significant Accounting Policies A. Nature of Activities Washington Street Hope Center, Inc. (the Corporation) was incorporated on July 25, 1988 and is a nonprofit organization as described in IRS Code Section 501(c)(3) which was formed for the purpose of providing a 28day program of rehabilitation from substance abuse. The Corporation is governed by a board of directors, and employees consisting of two directors, a secretary, a cook, two counselors, and several program technicians. B. Financial Statement Presentation Financial statement presentation follows the recommendations of the Financial Accounting Standards Board in its Statement of Financial Accounting Standards (SFAS No. 117, "Financial Statements of NotforProfit Organizations". Under SFAS No. 117, the Corporation is required to report information regarding its financial position and activities according to three classes of net assets: unrestricted net assets, temporarily restricted net assets, and permanently restricted net assets. C. Basis of Accounting The financial statements have been prepared on the accrual basis of accounting and accordingly reflect all significant receivables, payables, and other liabilities. D. Description of Programs Hope Center The Hope Center provides longterm, highly structured residential treatment programs for alcoholic and drug dependent men who are economically unable to obtain needed treatment elsewhere. Fees range from assistance provided by the State of Louisiana, Department of Health and Hospitals, Office of Human Services, Division of Alcohol and Drug Abuse to direct payments from individual patients. E. Donated Services and Materials Contributions of materials, facilities, and services are recognized if they (a) create or enhance nonfinancial assets or (b) require specialized skills, are provided by individuals possessing those skills, and would typically need to be purchased if not provided by donation. These donated services and facilities were recorded at market value.

13 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (Continued) F. Fixed Asset Depreciation Expenditures for physical properties are valued at historical cost and are being depreciated on a straightline method over the following estimated lives: Buildings Building improvements Vehicles & equipment Furniture & fixtures 25 years 10 years 5 years 5 years G. Compensated Absences The Corporation's policy relating to accumulated unpaid vacation, sick pay and other employee benefits indicates that each employee receives two to four weeks vacation leave each year depending on the length of employment. Employees also receive sick leave as requested each year. Accumulated absences are not accrued in these financial statements, as such amounts were considered immaterial at June 30, H. Income Taxes The Corporation is a nonprofit organization and is exempt from Federal income tax as an organization described in Section 501(c)(3) of the Internal Revenue Code. 1. Functional Expenses Functional expenses have been allocated between Program Services and Supporting Services based on an analysis of personal time and space utilized for the related activities. J. Uncollectible Patient Fees Uncollectible amounts due for patient fees are recognized as bad debts through the establishment of an allowance account at the time information becomes available that would indicate the uncollectiblity of the particular receivable. The allowance for uncollectibles at June 30, 2008 was immaterial. 11

14 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (Continued) K. The Corporation considers all highly liquid investments with a maturity of three months or less at the date of acquisition to be cash equivalents. L. Estimates The preparation of financial statements in conformity with generally accepted accounting principles requires management to make estimates and assumptions that affect certain reported amounts and disclosures. Accordingly, actual results could differ from those estimates. M. Totals Memorandum Only Total columns on the financial statements are captioned "Memorandum Only" to indicate that they are presented only to facilitate financial analysis. Data in these columns do not present financial position, results of operations, or changes in financial position in conformity with generally accepted accounting principles. Neither is such data comparable to a consolidation. Interfund eliminations have not been made in the aggregation of this data. N. Contributions All contributions are considered to be available for unrestricted use unless specifically restricted by the donor. In this case, the federal agency restricts the purpose of the support for only the care and treatment of the patients that are assigned by that agency. (2) Cash At June 30, 2008 and 2007, the Corporation had cash and interestbearing deposits (book balances) totaling $227,289 and $178,963, respectively. These deposits are stated at cost which approximates market. These deposits (bank balances) at June 30, 2008 totaled $242,349 is fully secured by FD1C insurance. These deposits (bank balances) at June 30, 2007, totaled $202,999, and $ is secured from risk by federal deposit insurance, while $32,718 is not secured. 12

15 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (Continued) (3) Receivables The following is a summary of receivables at June 30, 2008 and 2007: Grant revenue receivable $ 46,500 $ 31,050 Federal Grant Receivable 1,980 10,185 Other receivables $48,480 $41,235 (4) Fixed Assets A summary of property and equipment at June 30, 2008 and 2007 follows: Buildings and improvements $ 252,974 $ 213,083 Equipment 86,169 76,998 Vehicles 16,700 16,700 Furniture and fixtures 15,322 12,107 Land 4,000 4, , , Less: accumulated depreciation (203,841) (180,931) Net property and equipment $171,324 $ 141,957 (5) Donated Materials, Services, and Capital Expenditures The value of donated materials, services, and capital expenditures included in the financial statements and corresponding expenditures for the years ended June 30, 2008 and 2007 follows: Public support restricted (Contributions): Donated food supplies $53,365 $46,555 Donated labor 687 Donated travel 2,371 3,040 Donated Training Total public support restricted $55,736 $ 50,282 13

16 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (Continued) Expenses: Hope Center Food supplies $53,365 $46,555 Labor 687 Travel 2,371 3,040 Training Total Hope Center $55,736 $50,282 (6) Related Party Transactions A. James Hamilton is the finance director for Washington Street Hope Center, Inc. For the year ended June 30, 2008 and 2007, Washington Street Hope Center, Inc. purchased $145 of insurance policies through an insurance company that is owned by Mr. Hamilton's son. This amount was reported as insurance expense. B. Jo Hamilton, also a director for Washington Street Hope Center. Inc., leases the Hope Center building personally for $250 per month. (7) Litigation The Corporation was not involved in any litigation at June 30, (8) Federal Awards The Corporation is funded largely by reimbursements under its contractual agreement with the State of Louisiana Department of Health and Hospitals, and Office of Human Services, which consist of federal funds. These funds are subject to review and audit by the grantor. Such audits could result in a request for reimbursement by the grantor for expenditures disallowed under the terms and conditions of the appropriate agency. In the opinion of management, the amount of disallowance, if any, would not be significant to the financial statements. 14

17 WASHINGTON STREET HOPE CENTER, INC. Notes to Financial Statements (Continued) (9) Fair Values of Financial Instruments The Corporation's financial instruments, none of which are held for trading purposes, include cash and grant receivables. The Corporation estimates that the fair value of all financial instruments at June 30, 2008 does not differ materially from the aggregate carrying value of its financial instruments recorded in the accompanying statement of financial position.

18 COMPLIANCE AND INTERNAL CONTROL 16

19 Tel: Fax: Certified Public Accountant A Bolton Avenue Alexandria, Louisiana LLC Member Society of Louisiana C.P.A.'s REPORT ON COMPLIANCE AND ON INTERNAL CONTROL OVER FINANCIAL REPORTING BASED ON AN AUDIT OF FINANCIAL STATEMENTS PERFORMED IN ACCORDANCE WITH GOVERNMENT AUDITING STANDARDS To the Board of Directors Washington Street Hope Center, Inc. I have audited the financial statements of the Washington Street Hope Center, Inc. (a nonprofit organization) as of and for the year ended June 30, 2008, and have issued my report thereon dated November 28, I conducted my audit in accordance with auditing standards generally accepted in the United States of America and the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States. Compliance As part of obtaining reasonable assurance about whether Washington Street Hope Center, Inc.'s financial statements are free of material misstatement, I performed tests of its compliance with certain provisions of laws, regulations, contracts and grants, noncompliance with which could have a direct and material effect on the determination of financial statement amounts. However, providing an opinion on compliance with those provisions was not an objective of my audit and, accordingly, I do not express such an opinion. The results of my tests disclosed no instances of noncompliance that are required to be reported under Government Auditing Standards. Internal Control Over Financial Reporting In planning and performing my audit, I considered the Washington Street Hope Center Inc.'s internal control over financial reporting in order to determine my auditing procedures for the purpose of expressing my opinion on the financial statements and not to provide assurance on the internal control over financial reporting. My consideration of the internal control over financial reporting would not necessarily disclose all matters in the internal control over financial reporting that might be material weaknesses. A material weakness is a condition in which the design or operation of one or more of the internal control components does not reduce to a relatively low level the risk that misstatements in amounts that would be material in relation to the financial statements being audited may occur and not be detected within a timely period by employees in the normal course of performing their assigned functions. I noted no matters involving the internal control over financial reporting and its operation that I consider to be material weaknesses. A control deficiency exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect misstatements on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely affects the entity's ability to initiate, authorize, record, process, or report financial data reliably in

20 accordance with generally accepted accounting principles such that there is more than a remote likelihood that a misstatement of the entity's financial statements that is more than inconsequential will not be prevented or detected by the entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that a material misstatement of the financial statements will not be prevented or detected by the entity's internal control. My consideration of internal control over financial reporting was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. 1 did not identify any deficiencies in internal control over financial reporting that I considered to be material weaknesses, as defined above. This report is intended solely for the information and use of the Board of Directors and management, others within the organization and grant awarding agencies and the Legislative Auditor and is not intended to be and should not be used by anyone other than these specified parties. Roy (fit. Derbonne, Jf< Certified Public Accounta; Alexandria, Louisiana November

21 SINGLE AUDIT 19

22 Tel: Fax: K (Derfonne, Jti^ LLC Certified Public Accountant 1 101A Bolton Avenue Alexandria, Louisiana Member Society of Louisiana CPA's INDEPENDENT AUDITOR'S REPORT ON COMPLIANCE WITH REQUIREMENTS APPLICABLE TO EACH MAJOR PROGRAM AND INTERNAL CONTROL OVER COMPLIANCE IN ACCORDANCE WITH OMB CIRCULAR A133 To the Board of Directors Washington Street Hope Center, Inc. Compliance I have audited the compliance of Washington Street Hope Center, Inc., with the types of compliance requirements described in the U.S. Office of Management and Budget (OMB) Circular A133 Compliance Supplement that are applicable to its major federal programs for the year ended June 30, Washington Street Hope Center, Inc.'s major federal programs are identified in the summary of auditor's results section of the accompanying schedule of findings and questioned costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to its each of its major federal program is the responsibility of Washington Street Hope Center, Inc.'s management. My responsibility is to express an opinion on Washington Street Hope Center, Inc.'s compliance based on my audit. I conducted my audit of compliance in accordance with auditing standards generally accepted in the United States of America, the standards applicable to financial audits contained in Government Auditing Standards, issued by the Comptroller General of the United States, and OMB Circular A133, Audits of States, Local Governments, and Nonprofit Organizations. Those standards and OMB Circular A133 require that I plan and perform the audit to obtain reasonable assurance about whether noncompliance with the types of compliance requirements referred to above that could have a direct and material effect on a major federal program occurred. An audit includes examining, on a test basis, evidence about Washington Street Hope Center, Inc.'s compliance with those requirements and performing such other procedures as I considered necessary in the circumstances. I believe that my audit provides a reasonable basis for my opinion. My audit does not provide a legal determination on Washington Street Hope Center, Inc.'s compliance with those requirements. In my opinion, Washington Street Hope Center, Inc., complied, in all material respects, with the requirements referred to above that are applicable to each of its major federal programs for the year ended June 30, Internal Control Over Compliance The management of Washington Street Hope Center, Inc. is responsible for establishing and maintaining effective internal control over compliance with requirements of laws, regulations, contracts and grants applicable to federal programs. In planning and performing my audit, I considered Washington Street Hope Center, Inc.'s internal control over compliance with requirements that could have a direct and material effect on the major federal program in order to determine my auditing procedures for the purpose of expressing my opinion on compliance, but not for the purpose of expressing an opinion on the effectiveness of internal

23 control over compliance. Accordingly, I do not express an opinion on the effectiveness of Washington Street Hope Center, Inc.'s internal control over compliance. A control deficiency in an entity's internal control over compliance exists when the design or operation of a control does not allow management or employees, in the normal course of performing their assigned functions, to prevent or detect noncompliance with a type of compliance requirements of a federal program on a timely basis. A significant deficiency is a control deficiency, or combination of control deficiencies, that adversely effects the entity's ability to administer a federal program such that there is more than a remote likelihood that noncompliance with a type of compliance requirement of a federal program that is more than inconsequential will not be prevented or detected by entity's internal control. A material weakness is a significant deficiency, or combination of significant deficiencies, that results in more than a remote likelihood that material noncompliance with a type of compliance requirement of a federal program will not be prevented or detected by the entity's internal control. My consideration of the internal control over compliance was for the limited purpose described in the first paragraph of this section and would not necessarily identify all deficiencies in internal control that might be significant deficiencies or material weaknesses. I did not identify any deficiencies in internal control over compliance that I consider to be material weaknesses, as defined above. This report is intended for the information and use of the Board of Directors, the Legislative Auditor of the State of Louisiana, federal awarding agencies, and passthrough entities and is not intended to be, and should not be, used by anyone other than these specified parties. However, under Louisiana Revised Statue 24:513, this report is distributed by the Legislative Auditor of the State of Louisiana as a public document. / r Roy f. verbonne, Jr. Certified Public Accountant Alexandria, Louisiana November 28, 2008

24 WASHINGTON STREET HOPE CENTER, INC. SCHEDULE OF FEDERAL FINANCIAL ASSISTANCE June 30, 2008 CFDA # Receipts Disbursements Department of Health and Human Services: Passed Through Louisiana Department of Health and Hospitals: Inpatient Treatment Services $ 548,235 $ 548,235 Department of Health and Human Services: Passed Through Louisiana Department of Health and Hospitals: Access to Recovery 52,455 52,017 Amounts per financial report: Less: Accounts Receivable, end of year Plus: Accounts Receivable, beginning of year 600,690 (48,480) 41, ,252 $ 593,445 The cluster is a major program. 22

25 WASHINGTON STREET HOPE CENTER, INC. Schedule of Findings and Questioned Costs For the Year Ended June 30, 2008 PART I SUMMARY OF AUDITOR'S RESULTS The independent auditor's report on the financial statements for the Washington Street Hope Center, Inc. as of June 30, 2008 and for the year then ended expressed an unqualified opinion. The report on internal control included no reportable conditions. The results of the audit disclosed no instances of noncompliance that are considered to be material to the financial statements of Washington Street Hope Center, Inc. Washington Street Hope Center, Inc. had a major program notes as Department of Health and Hospitals, Passed through Louisiana Department of Health and Hospitals, Inpatient Treatment Services and Access to Recovery. In determining if this program was a major program, I used the threshold of $300,000. The results of the audit disclosed no instances of noncompliance with respect to compliance with laws, regulations, contracts, and grants applicable to its major federal program. Also, no matters were noted involving the internal control over compliance and its operation. PART II FINDINGS RELATING TO THE FINANCIAL STATEMENTS WHICH ARE REQUIRED TO BE REPORTED IN ACCORDANCE WITH GENERALLY ACCEPTED GOVERNMENTAL AUDITING STANDARDS There were no findings for the year ended June 30, PART III FINDINGS AND QUESTIONED COSTS FOR FEDERAL AWARDS WHICH SHALL INCLUDE AUDIT FINDINGS AS DEFINED BY OMB CIRCULAR A133 There were no findings for the year ended June 30,

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